5. No budget

Even if things are going well and you don’t need to account for every dollar, a budget can help you keep track of your costly habits. One of the worst mistakes people make when they start their money-saving journey is overestimating how much they can set aside for other things.

Saving more than half of your monthly income is not realistic for the majority of us, but this split is: 50% of your income goes on housing, a retirement plan, and bills, 30% goes on things you want to get, such as holidays, concerts, movies, and shows, and the rest of your 20% goes on your savings account.

Knowing exactly how much money you need for different things is going to help you have a clear idea of how much you have available, so you won’t be tempted to lose yourself in these costly habits.